diff --git a/plugins/settings-repository/resources/messages/IcsBundle.properties b/plugins/settings-repository/resources/messages/IcsBundle.properties
index a93360103a11..d96c2cc7bc89 100644
--- a/plugins/settings-repository/resources/messages/IcsBundle.properties
+++ b/plugins/settings-repository/resources/messages/IcsBundle.properties
@@ -13,8 +13,8 @@ ics.settings=Settings Repository
 
 action.CommitToIcs.text=Commit to Settings Repository
 
-init.dialog.message=Repository not exists, would you like to init it here?
-init.dialog.title=Init Repository
+init.dialog.message=There is no Settings Repository in the {0}, would you like to create a new one in this location?
+init.dialog.title=Create Settings Repository
 
 specify.absolute.path.dialog.message=Please specify absolute path
 
diff --git a/plugins/settings-repository/src/RepositoryService.kt b/plugins/settings-repository/src/RepositoryService.kt
index 17ab3f6f2be1..debdf31c56c9 100644
--- a/plugins/settings-repository/src/RepositoryService.kt
+++ b/plugins/settings-repository/src/RepositoryService.kt
@@ -15,6 +15,8 @@
  */
 package org.jetbrains.settingsRepository
 
+import com.intellij.openapi.project.Project
+import com.intellij.openapi.ui.MessageDialogBuilder
 import com.intellij.openapi.ui.Messages
 import com.intellij.util.exists
 import com.intellij.util.io.URLUtil
@@ -22,13 +24,12 @@ import com.intellij.util.isDirectory
 import org.eclipse.jgit.lib.Constants
 import org.eclipse.jgit.transport.URIish
 import org.jetbrains.settingsRepository.git.createBareRepository
-import java.awt.Container
 import java.io.IOException
 import java.nio.file.Path
 import java.nio.file.Paths
 
 interface RepositoryService {
-  fun checkUrl(uriString: String, messageParent: Container? = null): Boolean {
+  fun checkUrl(uriString: String, suggestToCreate: Boolean, project: Project? = null): Boolean {
     val uri = URIish(uriString)
     val isFile: Boolean
     if (uri.scheme == URLUtil.FILE_PROTOCOL) {
@@ -38,19 +39,19 @@ interface RepositoryService {
       isFile = uri.scheme == null && uri.host == null
     }
 
-    if (messageParent != null && isFile && !checkFileRepo(uriString, messageParent)) {
+    if (isFile && !checkFileRepo(uriString, project)) {
       return false
     }
     return true
   }
 
-  fun checkFileRepo(url: String, messageParent: Container): Boolean {
+  private fun checkFileRepo(url: String, project: Project?): Boolean {
     val suffix = "/${Constants.DOT_GIT}"
     val file = Paths.get(if (url.endsWith(suffix)) url.substring(0, url.length - suffix.length) else url)
     if (file.exists()) {
       if (!file.isDirectory()) {
         //noinspection DialogTitleCapitalization
-        Messages.showErrorDialog(messageParent, "Specified path is not a directory", "Specified Path is Invalid")
+        Messages.showErrorDialog(project, "Specified path is not a directory", "Specified Path is Invalid")
         return false
       }
       else if (isValidRepository(file)) {
@@ -58,17 +59,21 @@ interface RepositoryService {
       }
     }
     else if (!file.isAbsolute) {
-      Messages.showErrorDialog(messageParent, icsMessage("specify.absolute.path.dialog.message"), "")
+      Messages.showErrorDialog(project, icsMessage("specify.absolute.path.dialog.message"), "")
       return false
     }
 
-    if (Messages.showYesNoDialog(messageParent, icsMessage("init.dialog.message"), icsMessage("init.dialog.title"), Messages.getQuestionIcon()) == Messages.YES) {
+    if (MessageDialogBuilder
+        .yesNo(icsMessage("init.dialog.title"), icsMessage("init.dialog.message", file))
+        .yesText("Create")
+        .project(project)
+        .`is`()) {
       try {
         createBareRepository(file)
         return true
       }
       catch (e: IOException) {
-        Messages.showErrorDialog(messageParent, icsMessage("init.failed.message", e.message), icsMessage("init.failed.title"))
+        Messages.showErrorDialog(project, icsMessage("init.failed.message", e.message), icsMessage("init.failed.title"))
         return false
       }
     }
diff --git a/plugins/settings-repository/src/settings/readOnlySourcesEditor.kt b/plugins/settings-repository/src/settings/readOnlySourcesEditor.kt
index 875108a4f17d..2672ace5735a 100644
--- a/plugins/settings-repository/src/settings/readOnlySourcesEditor.kt
+++ b/plugins/settings-repository/src/settings/readOnlySourcesEditor.kt
@@ -66,16 +66,7 @@ internal fun createReadOnlySourcesEditor(): ConfigurableUi<IcsSettings> {
       urlField.addBrowseFolderListener(TextBrowseFolderListener(FileChooserDescriptorFactory.createSingleFolderDescriptor()))
       urlField.textField.document.addDocumentListener(object : DocumentAdapter() {
         override fun textChanged(event: DocumentEvent) {
-          val url = StringUtil.nullize(urlField.text)
-          val enabled: Boolean
-          try {
-            enabled = url != null && url.length > 1 && icsManager.repositoryService.checkUrl(url, null)
-          }
-          catch (e: Exception) {
-            enabled = false
-          }
-
-          dialogBuilder.setOkActionEnabled(enabled)
+          dialogBuilder.setOkActionEnabled(checkUrl(urlField.text.nullize()))
         }
       })
 
diff --git a/plugins/settings-repository/src/settings/upstreamEditor.kt b/plugins/settings-repository/src/settings/upstreamEditor.kt
index 719c7ea55f67..b789af6d1b72 100644
--- a/plugins/settings-repository/src/settings/upstreamEditor.kt
+++ b/plugins/settings-repository/src/settings/upstreamEditor.kt
@@ -1,5 +1,5 @@
 /*
- * Copyright 2000-2015 JetBrains s.r.o.
+ * Copyright 2000-2016 JetBrains s.r.o.
  *
  * Licensed under the Apache License, Version 2.0 (the "License");
  * you may not use this file except in compliance with the License.
@@ -29,15 +29,17 @@ import java.awt.event.ActionEvent
 import javax.swing.AbstractAction
 import javax.swing.Action
 
-fun updateSyncButtonState(url: String?, syncActions: Array<Action>) {
-  val enabled: Boolean
+internal fun checkUrl(url: String?): Boolean {
   try {
-    enabled = url != null && url.length > 1 && icsManager.repositoryService.checkUrl(url, null);
+    return url != null && url.length > 1 && icsManager.repositoryService.checkUrl(url, false)
   }
   catch (e: Throwable) {
-    enabled = false;
+    return false
   }
+}
 
+fun updateSyncButtonState(url: String?, syncActions: Array<Action>) {
+  val enabled = checkUrl(url)
   for (syncAction in syncActions) {
     syncAction.isEnabled = enabled;
   }
@@ -56,7 +58,7 @@ fun createMergeActions(project: Project?, urlTextField: TextFieldWithBrowseButto
     object : AbstractAction(icsMessage("action.${if (syncType == SyncType.MERGE) "Merge" else (if (syncType == SyncType.OVERWRITE_LOCAL) "ResetToTheirs" else "ResetToMy")}Settings.text")) {
       private fun saveRemoteRepositoryUrl(): Boolean {
         val url = StringUtil.nullize(urlTextField.text)
-        if (url != null && !icsManager.repositoryService.checkUrl(url, dialogParent)) {
+        if (url != null && !icsManager.repositoryService.checkUrl(url, true, project)) {
           return false
         }